Crude oil prices shook off early weakness and posted a modest recovery on Tuesday after U.S. Trade Representative Robert Lighthizer announced a delay in imposing new tariffs on certain Chinese products.
The announcement comes less than two weeks after U.S. President Donald Trump announced plans to impose a 10 percent tariff on the remaining $300 billion worth of Chinese imports, sparking a global desire for safe havens.
West Texas Intermediate climbed $2.42 or 4.42 percent to $57.20 after the trade announcement after moving as low as $54.78 earlier in the day.
The early downward pressure was the result of fears that the deepening U.S.-China trade war would overshadow fresh efforts by OPEC and its non-OPEC partners to curb supply.
Saudi Arabia, the de-facto leader of the OPEC, said late last week it is taking steps to keep its crude oil exports below 7 million barrels per day in August and September.
The material has been provided by InstaForex Company – www.instaforex.com